It's unclear if there's any Democratic plan for intervening in the city's financial restructuring.

State appointed Emergency Manager Kevyn Orr estimates the city's long-term obligations at around $18 billion. He took the city into bankruptcy proceedings last month.

The Congressional Black Caucus has called for federal aid.

And Orr has met with White House officials, but there's been no word of any sort of bailout plan.

"The emergency manager has met with the White House and members of the state's congressional delegation, and these meetings focused on how the federal government can assist in Detroit's restructuring," said Orr's spokesperson Bill Nowling in an email message. "At each of those meetings it was made clear that a federal bailout is not a possibility."

But Paul intends to craft a conservative path for intervention.

"I’ve been talking with my staff about having a Republican alternative to it, because if there is a way in an economically depressed zone to have some tax forbearance, reduce some taxes, encourage businesses, encourage people to come in and take abandoned property,” Paul said Tuesday, according to a report from Politico.

Paul also suggested withdrawing aid from Egypt in favor of investing in infrastructure in U.S. cities.